All Forum Posts by: Joseph Walsh

@Shane Elias-Calles Hey Shane, it is obviously your choice at the end of the day and depends on your read of the guy (how genuine he seems and if there is true value in that price tag). Me personally, I would not do it. My business partner and I started 3 years ago and we have a 5 unit, 3 unit, and 2 unit each one cashflowing very nicely. We also have done 3 flips (2 profitable, 1 break even). We are now putting together a smaller syndicated deal. We had little to no knowledge when we started, it all was all from self education, mostly on sites like BiggerPockets. There were definitely lessons along the way from the School of Hardknocks, but I don't necessarily regret that, it taught us a lot. I am certain you can self learn... That being said, a mentor likely can expedite and help you avoid some common pitfalls along the way!

@Tom Parris I am not sure I am understanding your needs fully, but you may want to look into a bridge loan. Just be sure you understand all of the terms and conditions before signing. It can be a good temporary solution, hence the name "bridge" loan!

@Sandy S. Just as you mentioned, simply tell the tenant they will receive their security deposit total + legally obligated interest earned. Let them know this is assuming the property is returned in the condition they received it. Tell them you will conduct a final walkthrough to ensure there is no damage or deductions to that amount and as long as it is returned in the same state (excluding normal wear and tear) they will receive the full refund. If you don't feel comfortable saying that, direct them to their lease to answer any questions they may have. Your lease is a legally binding document, which should lay out security deposits and how they are refunded.

@Derek White are you in a position to put down a slightly larger down payment? For example, with the FHA loan you mentioned, the credit requirements scale downwards as the down payment amount scales upwards. Maybe you can work with a mortgage broker to figure out a happy middle ground. I haven't looked into it for awhile, but I was under the impression FHAs requirements were 580 for 3.5% down. I would also recommend working with another mortgage broker that is willing to fight for you and get the loan approved.

@Wil Reichard so true haha. My business partner and I quickly realized after three flips that it is not for us, despite profits. We've been growing our multifamily portfolio ever since. Best of luck to you!

@Wil Reichard great job! The house looks great and that is a tidy sum to walk away with on your first flip. Having a few flips under my belt, I know what you mean about the close calls and it's not as easy as the numbers may make it seem haha.

@Gary Guidi congratulations from a fellow Chicagoland investor! Do you mind sharing who you use for property management? I am currently looking to hire a property manager and would appreciate the referral if you have had a good experience with them.

@Joseph Rodriguez I would highly advise you to make sure they move out before closing. Unfortunate circumstances got them to where they are and you do not want their problems to become yours. This sounds like a recipe for disaster if you let them stay. If you do decide to let them stay, there is some good advice from other posts

@Kristin Seitz when I started I used cozy.co, which was a great company with multiple tools! As I grew, I started using Avail.co, which serves as management software and also performs all background/credit checks.

Thank you, @Mark Nolan! They certainly are, I like the real-world examples and stories.